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Are Business Services Stocks Lagging CompoSecure (CMPO) This Year?

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The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has CompoSecure, Inc. (CMPO - Free Report) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Business Services peers, we might be able to answer that question.

CompoSecure, Inc. is a member of the Business Services sector. This group includes 259 individual stocks and currently holds a Zacks Sector Rank of #5. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. CompoSecure, Inc. is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for CMPO's full-year earnings has moved 5.1% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, CMPO has gained about 18.6% so far this year. At the same time, Business Services stocks have lost an average of 9.4%. As we can see, CompoSecure, Inc. is performing better than its sector in the calendar year.

Another stock in the Business Services sector, Experian PLC (EXPGY - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 3.4%.

Over the past three months, Experian PLC's consensus EPS estimate for the current year has increased 2%. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, CompoSecure, Inc. belongs to the Financial Transaction Services industry, a group that includes 34 individual companies and currently sits at #153 in the Zacks Industry Rank. Stocks in this group have lost about 13.3% so far this year, so CMPO is performing better this group in terms of year-to-date returns.

In contrast, Experian PLC falls under the Business - Information Services industry. Currently, this industry has 8 stocks and is ranked #72. Since the beginning of the year, the industry has moved -23.6%.

CompoSecure, Inc. and Experian PLC could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks.


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